Alameda Tile sells products to many people remodeling their homes and thinks that it could profitably offer courses on tile installation, which might also increase the demand for its products. The basic installation course has the following (tentative) price and cost characteristics.

Tuition$440per studentVariable costs (tiles, supplies, and so on)230per studentFixed costs (advertising, salaries, and so on)105,000per year

Required:

a.What enrollment will enable Alameda Tile to break even?

b.How many students will enable Alameda Tile to make an operating profit of $50,400 for the year?

c.Assume that the projected enrollment for the year is 850 students for each of the following (considered independently):

1.What will be the operating profit (for 850 students)?

2.What would be the operating profit if the tuition per student (that is, sales price) decreased by 7 percent? Increased by 22 percent?

3.What would be the operating profit if variable costs per student decreased by 12 percent? Increased by 18 percent?

4.Suppose that fixed costs for the year are 10 percent lower than projected, whereas variable costs per student are 6 percent higher than projected. What would be the operating profit for the year?

Question #2 Assume that the projected enrollment for the year is 850 students for the following (considered independently):

C2. What would be the operating profit if the tuition per student (that is, sales price) decreased by 7 percent? Increased by 22 percent?(Do not round intermediate calculations.)

Question# 3: Assume that the projected enrollment for the year is 850 students for the following (considered independently):

C3. What would be the operating profit if variable costs per student decreased by 12 percent? Increased by 18 percent?(Do not round intermediate calculations.)

question # 4:

Assume that the projected enrollment for the year is 850 students for the following (considered independently):

C4. Suppose that fixed costs for the year are 10 percent lower than projected, whereas variable costs per student are 6 percent higher than projected. What would be the operating profit for the year?(Do not round intermediate calculations.)

Operating profit=